Updates on Bullion, Metals, and Energy Levels 9th Dec 2019

Gold inched up on Monday as investors awaited cues from the U.S. Federal Reserve on its monetary policy outlook while trying to size up the chances of a new round of U.S. tariffs on Chinese goods while on the Other hand, Crude oil traded lower after data showed Chinese exports declined for a fourth straight month which affected the demand of the Crude oil.

Gold (Dec)

Support at 37500 and Resistance at 37750.

Break and close above 37750 will take it to 38000-88100 or else it could test its support again.

Fresh selling will do on a close below 37500 levels.

Trade safely with the levels only.

SILVER

Support is at 43450 and resistance is at 43900.

Break and close above 43900 will'take it to 44300-44500 levels or else it could test its support again.

Fresh selling will do on a close below 43450.

CRUDEOIL(DEC)

Support at 4100 and resistance at 4270.

Trades can buy Crude oil on dip 4140 4130 for the upside target of 4200 4230++ levels.

Fresh selling will do on a close below 4100 levels.

Trade safely with the levels only.

NATURAL GAS (DEC)

Support at 156 and resistance at 161.

Break and sustain abové 161 will take it to 166 -168 or else it could test its support again.

Fresh selling will do on a close below 156.

Trade with the levels only.

NICKEL (DEC)

Support at 975 and Resistance at 985.

Break and close above 985 will take it to 995-1005 or else it could test its support again.

Fresh selling will close on a close below 975.

Trade with the levels only.

COPPER (DEC)

Support at 435 and Resistance at 439.

Break and close above 439 will take it to 443--445 or élse it could test its support again.

Fresh selling will do on a close below 435.

Trade with the levels only.

More will update soon.

Commodity Daily (Metal & Energy) Report -August 16 2019

BULLIONS 

Bullion counter may remain on sideways to a positive path. Gold prices gained on Friday as the steep fall in U.S. bond yields continued, while conflicting signals on the Sino-U.S. trade war added to economic uncertainty. The metal has gained nearly 2% so far this week, and is on track for its third straight weekly gain. Gold (Oct) can take support near 38000 and resistance near 38400 while silver (Sep) can take support near 43600 and resistance near 44300. China on Thursday vowed to counter the latest $300 billion U.S. tariffs, but also called on the U.S. to meet it halfway on a potential trade deal. On Thursday, U.S. President Donald Trump said he believed China wanted to make a trade deal, and that the trade conflict would be fairly short. Investors are focused on the Federal Reserve's annual symposium next week. Traders see an about one-in-three chance of a 50 basis-point rate cut by the Fed this September. The European Central Bank's (ECB) Olli Rehn on Thursday flagged the need for a significant easing package in September. The ECB is widely expected to cut interest rates by at least 10 basis points when it meets next month.

ENERGY

Crude oil may trade with upside path as crude oil prices rose on Friday after two days of declines, buoyed following data showing a rise in U.S. retail sales helped ease some concerns about a recession in the world's biggest economy. U.S. retail sales rose 0.7% in July as consumers bought a range of goods even as they cut back on motor vehicle purchases, according to data that came a day after a key part of the U.S. Treasury yield curve inverted for the first time since June 2007 prompting a sell-off in stocks and crude oil. The price of Brent is still up nearly 10% this year thanks to supply cuts led by the Organization of the Petroleum Exporting Countries (OPEC) and allies such as Russia, a group known as OPEC+. In July, OPEC+ agreed to extend oil output cuts until March 2020 to prop up prices. Crude oil may move towards 3980 while taking support near 3900. But the efforts of OPEC+ have been outweighed by worries about the global economy amid the U.S.-China trade dispute and uncertainty over Brexit, as well as rising U.S. stockpiles of crude and higher output of U.S. shale oil. Natural gas can recover towards 160 while taking support near 156. U.S. natural gas futures jumped more than 5% on Thursday after the release of a storage report that showed a much smaller-than-expected build last week.   

BASH METALS

Base metals may trade on positive path. Copper may trade sideways as it can take support near 446 while taking resistance near 452. China's refined copper output rose 4.8% year-on-year to 801,000 tonnes in July, data released by the National Bureau of Statistics showed on Friday. Copper prices were almost unchanged on Friday, amid conflicting messages about the ongoing trade discussions between the United States and China. U.S. President Donald Trump said on Thursday that U.S. and Chinese negotiators were holding “productive” trade talks and expected them to meet in September. Meanwhile, China vowed to counter the latest U.S. tariffs but called on the United States to meet it halfway on a potential trade deal. Prices of copper, seen as a gauge of economic health, have been hurt by the prolonged trade war between the world’s two biggest economies and have fallen 3.6% so far this year on the London Metal Exchange (LME). Zinc can recover 186 while taking support near 183. China July zinc output was up 17.4% y/y at 512,000 tonnes. Lead may recover towards 156 while taking support near 152. China July lead output rose 13.2% y/y to 472,000 tonnes. Nickel may move upside towards 1160 while taking support near 1130. Aluminum may test 142 while taking support near 139. Alumina output was up 2.9% y/y but down 3% from June at 6.22 mln tonnes, the lowest monthly total since December. 

More will update soon!!

Outlook on Bullion, Metals and Energy Levels 9th Aug 2019

Gold traded sideways on Thursday after a gap up opening on the expectation that the US and China trade talks are not going to resolve any soon which create concern about the global economy due to which traders are moving towards Gold for the investment.

Crude oil traded higher on Friday on the expectation that OPEC members will cut more the output which is supporting the price of Crude but on the other hand trade the dispute between the US and China working as resistance in the growth the demand.

Technical Levels

GOLD

Support is at 37800 and resistance is at 38000. 

Break and sustain above 38000 will take it to 38200--38400 marks or else it could touch its support level of 37700 again

Fresh selling can be done on a close below 37800 levels               

 Trade with levels only

SILVER

Support is 42700 and Resistance is 43800 Break and sustain above 43800 will take it to 44300---44500 marks or else it could touch its support level of 42700 again

 Fresh selling can be done on a close below 42700 levels 

Trade with levels only

CRUDE OIL

Support at 3690 and Resistance at 3790. 

Break and sustain above 3790 will take it to 3850—3900 marks or else it could test the support level of 3690 again. 

Fresh buying will do on a close and sustain below 3690 marks.

Trade with levels only.

NATURAL GAS

Support at 147 and Resistance at 152. 

Break and sustain above152 will take it to 157—160 marks or else it could test the support level of 147 again. 

Fresh selling will do on a close and sustain below 147 marks.

 Trade with levels only.

COPPER

Support at 440 and Resistance at 444.

Close and sustain above 444 will take it 448—450 or else it could touch its support level of 440. Fresh selling will do on a close below 440.

Trade with the levels only.

NICKEL

Support at 1090 and resistance at 1140.

Trade within the range and wait for the confirmation. The major trend is positive.

ZINC AUG

Support at 183 and Resistance at 185.

Break and sustain above 186 will take it to 188—190 marks or else it could touch its support level of 183. Fresh selling can be done on a close and sustain below 183.

Trade with the levels only.

LEAD AUG

Support at 154 and Resistance at 156 

Break and sustain above 156 will take it to 158---160 marks or else it could touch its support level of 154 again 

Fresh selling will do on a close and sustain below 154 levels.

Trade with the levels only.

MCX CRUDE OIL TECHNICAL OUTLOOK

MCX Crude Oil futures technical chart has taken the formation of “Right angled Ascending broadening wedge” pattern in daily time frame. Previously few sessions ended up in bullish trend along with some corrections inside the channel. As per the technical aspects based on the current price action, the market is expected to continue on bullish trend. The continuation of the trend will be confirmed once the prices breaks above a key resistance zone holding at 3750. The positive rally could be testing all the way up to 3850-3900 levels in the upcoming sessions. An alternative scenario indicates that if the key resistance holds strong then the market might have a chance to retest the same and revise the trend to bearish once again. Such reversal could possibly test up to 3600-3500 levels. Key support holds at 3500.